Question

ted: Apr 4 at 11:27am iz Instructions Below is a list of five relationships that really exist (sort of). Describe in a sentence or two how a third variable might be a part of the spurious relationship that can explain the association. As an example, consider the relationship between "teachers' salaries and the price of alcohol". Studies have shown that there is a positive correlation between these two variables. But we shouldn't jump to the conclusion that there is a causal link between the two. More likely, it's some third variable that is causing the relationship. In this case, teachers who get paid more, happen to live in urban areas, and alcohol costs more in urban areas. Teachers who work in less populated areas, make less money, and booze costs less in rural areas. These are both a function of urban inflation" people make more, but spend more if they live in densely populated areas. OK, have a go at the five examples listed below. Have fun with this.

Answer 1

There would be a positive association betwee crime rate and price of milk. But a causal link between these two cannot be established.

Urbanization may be a lurking variable which is most likely to cause a positive relationship between crime rate and price of milk. Big urbanized cities have affluent people with large income.
The inflation in big urbanized cities will be high due to large income and thus, the price of milk will be high.
Due to large income of affluent people living in the cities, the crime rate will be high to steal/rob the money.

The inflation in small town areas will be low due to small income and thus, the price of milk will be low as people will not pay much for milk.
Due to small income of less affluent people living in the towns, the crime rate will be low.